Bondora P2P Platform Review (2019)

Bondora

Bondora is a Peer-2-Peer (P2P) investment platform, allowing one a person (the borrower) to take a loan  from another person (the investor). This allows a person to bypass a bank or other official financial institution in obtaining financial assistance. The result:

  • a better loan interest rates for the borrower
  • a higher investment interest rate return for the investor.

These returns can be much higher than interest, term deposits and other financial investments. Read more about P2P platforms here.

About Bondora

Bondora (www.bondora.com) is an Estonian P2P lending company, and was founded in 2009. Bondora only allows users to invest in Euros, and focuses on unsecured consumer lending in Finland, Spain and Estonia. The investment base has over 30,000 investors from 85 different countries, and boasts historical annual returns of over 9% for the last 10 years.

Advantages of investing with Bondora

  • No fees for investing through Bondora
  • Secondary Market – Just like Mintos, Bondora offers a secondary market where people can buy and sell loans at either a discount or premium
  • Advance analytics about how investments work
  • Easy-to-use automatic investing tools
  • Borrowers are allocated investment groups based on credit history and risk
  • Bondora has been suggested to be the highest yielding P2P lending platform across the globe*
  • Can use TransferWise to deposit money.

Other Aspects:

  • No primary market. Bondora removed the primary market  on November 1, 2016 as the speed of automated services means that loans are filled before they become visible. You can read more on the Bondora forums here
  • Only people over the age of 18 and living in the EU, Switzerland or Norway can invest through Bondora.

Expected Returns from a Bondora P2P investment Account

Bondora has suggested that it has the highest yielding returns in the P2P marketplace, throughout the globe*, and have shown some statistics to back that fact up.

Through the statistics found on the Bondora platform, you can see that, the:

  • average:
    • loan amount is 2,200 EUR
    • loan duration is 47 Months
    • interest Rate is 32.4%
  • loans Issued is 138 Million Euros
  • net Return is 11.3%.

More statistics can be found on the Bondora Statistics page here.

Nearly 70% of investors earn between 5 and 25% returns on Bondora, with a select 6.5% earning higher than 25%.

In the above picture, you can see that Bondora outperforms other p2p investing platforms Propser and Lending Club, which use the similar AA-HR (High Risk) rating system.

* Bondora rating has outperformed expectations article found on the Bondora blog here.

If you use this Bondora link to sign up to Bondora you will receive €5 straight into your account .

Please note: Before investing in anything do your own due diligence and research. Nothing in this article is financial advice. Just one man trying to share his working and investing experiences!